Analyzing Business Dynamics and Supply Chain Collaboration

This assignment requires a comprehensive analysis of business dynamics and supply chain collaboration across various industries. Utilize provided case studies, such as 'Investigating the impact of e-business applications on supply chain collaboration in the German automotive industry' by Wiengarten et al., to evaluate the impact of technological advancements on supply chain performance. Additionally, consider other factors like business agility, competitiveness, and governance structures to provide a holistic understanding of business operations within respective industries.

Business

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Different types of organisations and their legal structures...................................................1
P2. Size and scope of different business organisations...............................................................2
TASK 2............................................................................................................................................3
P3 Relationship between different organisation functions and its objective..............................3
TASK 3............................................................................................................................................4
P4 positive and negative impacts of macro environment............................................................4
TASK 4............................................................................................................................................8
P5 SWOT analysis of organisation.............................................................................................8
P6) Effects of interrelation of strength & weaknesses on external environment of Mark &
Spencer......................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES .............................................................................................................................11

INTRODUCTION
Performance of the business plays very important role to compete in the market. It helps
to business organisation to maintain its stability in the market. There are different types of
organizations which runs to earn profit maximization. In this present files it explains the types
and scope of organization like there are three types of organization private, public. And
voluntary organisation(Ward, 2016.). Private organisation works for earn profit maximization
and public organisation works for public interest and voluntary organisation is the non profit
organisation. Also, the importance of business environment and its impacts on business
organisations. In this present file the positive and negative impacts are also described and
interrelation between the micro and macro factors are impact on business behaviour. In this
current report is based on Mark & Spencer which is a famous retail company in British market
which deals in Home furnishing products, clothing, food and beverages. M&S famous for its
quality products. It also exports its product all over the world.
TASK 1
P1. Different types of organisations and their legal structures
There are mainly three different types of organizations i.e private, public and voluntry
organisation. There are different types of organization.
Private organization: Private firms are focused on its quality services and give all necessary
items to the customer. Private business have only aim is to earn higher amount of profit. Private
institution are not bound with government activities they decide their own policies accordingly.
Private firms are make their own rules and regulation and play dominant role in the market. All
private organisation are focus to expand their business and maintain stability in the market. Like
British airways it is a private company who provides luxurious air services to their
customers(Wiengarten, and et.al., 2013.). Private fellowship are focus is on services. Private
companies have to follow the legislation rules and make sure about its quality of services which
is not harmful for the customer.
Public company: Public companies are established to protect the interest of customers. Public
firms are regulated by government bodies. It gets their funds from public in terms of tax, service
charges etc. Public institution provides product and services at low prices. The focus of public
institutions are to satisfy the customers needs at low prices. These public companies regulated
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by the government. They generate their revenue through the public in terms of taxes, service tax,
or from other services. Only public companies have rights to issue its share to the public. Public
companies are works for public interest rather than profit maximization. Public organisation is
controlled by government have right to take decision in state-supported companies.
Voluntary organization: This non profit organization runs for the benefits of disabled peoples
or for those citizens who is not financially stable. These organizations are yield support through
big organization in the form of charity, donation. Non-profit organisation are focused on public
rather than profit. Many non profit organisation provide basic needs services to the public and try
to maintain their life stable(Yusuf, 2014.). This organisation are may be private and public. This
organisation have to follow the rules and regulations imposed by government. And not to give
wrong services which harms to customers.
All Business organisations are provides different services to the customers. On the basis
of their requirements. On the other side every organisation have their own interest of profit.
Private institution are based on higher level of profit. On the other side public companies are
established to protect the interest of customers and provide low level of products and services.
P2. Size and scope of different business organisations
Private company (Mark and Spencer)L: Mark and Spencer is the private company
which provides plenty of products and services like Home furnishing, Men and woman clothing,
Food items. The focus of this company is to gain higher level of profit by giving various
products. Mark and Spencer have large brand value image in British market. Mark & Spencer
provides its services across the world(Galí, 2015.). They provide high quality of services which
satisfied the needs of customers. Its main agenda is to provide plenty of services to increase the
future stability and increase higher profit expansion. It continuously provides great services to
attract target audience(Zeng, and Duan, 2012.). This quality of services of M&S made its brand
value higher. M&S adopt customer oriented approach which means they provide services on the
basis of customer requirements. Due to high quality services M&S market share increase 0.1
percentage to 9% in the year of 2014 comparatively better from last year. It shows that scope of
M&S company is different and good in terms of customers. Its premium services satisfy the
needs of customers.
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Public company (NHS) National Health Service: NHS is the public company which provides
health care services to the customers. This company take it's all services only for the benefit of
patient. Government takes many decisions to provide flexibility in working. In NHS 1.5 million
employees are worked who has well skilled and knowledgable to take care of the patients. In
public organisation government helps to make things more flexible. The main purpose of the
government is to provide services at low price so that lower income class peoples are get all
medical services at minimum cost. The main agenda of this firm is to provide health care
services to those patients who is not financial stable. These types of entity are work for satisfy
the customer needs. NHS provide their shares to public and it is the responsibility of
shareholders to take dividend at the end of financial year. NHS get 10% more funding
comparatively last year. Scope and range of its firm is very stable in terms of financial factor.
Voluntary organisation: there are many non profit organization firs which maintain is to
provide basic needs to the peoples. Its main aim to help those who are not capable to full fill their
basic human needs. For example American red fox, World Wildlife etc. these are the
organisation provided free costs services to the disabled persons. Legal structure of this
organisation is that they have to follow government norms. Like British red cross it is the non
profit organization which provides services to those peoples who are suffering from crisis. These
are the organization are totally different from private, public firms. Voluntary organisation scope
is limited in terms of money.
TASK 2
P3 Relationship between different organisation functions and its objective.
In the organization there are many functional departments which helps to accomplish the
company goals. Structure and the function of the company are interrelated with each other. All
the function have their different work and short objectives which they have to perform, to overall
objective of the firm(Halinen, Törnroos, and Elo, 2013.). Like Financial department, marketing,
and HR department. Like Mark and Spencer company should take involvement of all the
members to generate innovative ideas. Like to promote new service mark and Spencer take
meeting of all the employees to take suggestion. Overall in the company all the department
functions are interrelated with each other each department are play very important role to
accomplish the target of the company. Every department have their own roles and responsibility
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towards work. Like HR department have duty to hired talented skill full employees so that they
give their contribution for business growth. Hr department helps to give employees in operation
and financial department to mange the work. On the other side HR or financial departments helps
in operation department to attempt all things properly.
Functions of each department and its interrelatedness as following:
Financial function: It is the department who take care of capital. It helps to mange the cash flow
and inflow of the company. This functional department create financial sources for the company
to manage the profit. Financial department of the company helps to other departments by giving
needed funds for smooth working. This department helps HR department to organise training for
the employees.
Human Resource Function: It is the another department of organisation which helps to hired new
talented employees according to the fields. M&S company is have big brand value in the British
market. It is because of excellent working efforts of employees. Human resource department
motivate to the employees by giving good appreciation and motivation. It helps to increase the
confidence level of employees towards their works. On the other side development department
gives training to the employer for better working. This functional department helps to create
powerful group to achieve the common goals of the organisation
Marketing Function: it is the another function which is the most important function of the
organisation. Marketing function is last process in which company introduce their new products
in the market. Marketing department helps to identify the new trend in the market. This
department helps to financial division by giving sales and to HR department by knowing other
requirements of employees. Marketing function helps to increase the sales and increase the profit
revenue(Johnson, and Turner, 2015.). It helps to take new expansion strategies. Mark and
Spencer gives home furnishing, clothing, and food beverages services. These all services of sale
because of marketing department. Marketing division create innovative services by identifying
the external environment.
TASK 3
P4 positive and negative impacts of macro environment
Macro environment factors are impact on the entire business. Macro factors are the
external factors includes political, economical, social, technological, environmental. These all
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factors influenced the working of the business. Company has to control on these factors to
minimize the future risk. Macro environment either give positive or negative impacts too.
Political factors
Political factors impacts on business growth in great extent. Political factors are the
external factors controlled by government. These factors may affects from increase or decrease
the tax rates(Steurer, 2013). These political factors is predictable because of the changes in
political parties. Political factors includes the population ratio, demographic factors. These all
factors affect the company negatively or positively.
Positive impacts
 It helps to minimize the future risk.
 Political factors helps to decide the product expansion strategies.
 It aids to improvise in business ethics.
 It mange the working environment by giving quality services to the customers.
 Government also helps to develop new industries in the market.
Negative impacts
 It may decrease the purchasing power of the customers.
 Due to high interest rates customers are not able to purchase costly services.
 It gives low productivity in the organisation.
 It decreases the business expansion scope.
Economical factor
Due to changes in inflation rates, interest rates impact on negatively or positively on the
businesses. Due to increasing the inflation rates apparently business have to increase the prices
of product and services. Through this situation customer are not getting interest in heavy prices
of products(Al-Saleh, and Mahroum, 2015.). It decreases the sales of the company Mark &
Spencer. Economic factors are influenced by external factors.
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This macro factors impacts on the business of M&S in great sense. Income factors are
change the mind of customers and affect the purchasing capacity Because customer have limited
money to invest due to market crises they cannot purchase heavy amount of products.
Positive factors
 Economic factors helps to make new strategies.
 Low inflation rates help to increment the demand of the products.
 Devalued interest rates helps to increase the commodity expansion.
 Stable economic condition helps to identify the customer needs and wants.
 In smooth market condition helps business to take new marketing strategies to attract the
customers.
Negative impacts
 It may desecrate the purchasing power of the customer.
 It decreases the sales revenue of the company.
 Diminish the future growth.
 It creates crisis in the business.
Social Factors
Social factors are those factors who influenced by the customers. It is the another macro
factor which impacts business organization(Carrió-Pastor, and Calderón, 2015.). It involves
customer age, income, culture, religion. Social factors affect the demand and supply of the
product. It may increase or decrease the sales of the business due to unemployment customer
cannot afford high cost services. This social factor may decrease the demand of services. These
social factors affect the M&S business growth.
Positive factors
 Stable economy increase sales of the products.
 Increasing the purchasing power.
 It helps organisation to take new product expansion.
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 Analyse the needs and wants of the customers.
Negative factors
 Due unemployment decrease the sales revenue of the product.
 Decrease the profit revenue of the company.
 Diminish the business future stability in the market.
 Negative impacts on business plans.
Technological factors
This macro factor gives positive impacts on the M&S. It helps to increase the employee's
productivity in M&S company. This technological factors diminish the work costs. It is effective
to minimize the time costs and other expenses. It helps to raising the product quality services of
marks & Spencer. It gives support to manage the all work in the company and increase the profit
revenue as well.
Positive impacts
 Increase the productivity between staff members.
 Enhance the product quality.
 Achieve the customer satisfaction.
 Increase the brand image.
 Give skilled talented employees.
 Helps to achieve the target into great extent.
Negative impacts
 Due to lack of knowledge employees get stuck to access the new techniques.
 Increase the customer dissatisfaction level.
Legal factors
Legal factors are those factors which is imposed by the government. It is the set frame
work of the regulatory bodies which is necessary to implement in the organisation. These are the
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regulations are created for the protection of customers or employees. These factors impacts
positively or negatively both.
Positive impacts
 It helps to maintain loyalty and trust among the customers.
 Increase the employee's stability in the business.
Negative impacts
 Create government involvement in the business plans.
 Involves inflexibility in work.
Environmental factor
Environmental factors helps to increase the brand image in the market of the company.
These factors involve the fulfilment of social responsibilities. These external factors are
unpredictable.
Positive factor
 Create more brand value.
 Maintain business stability in the future.
Negative factors
 Due to lack of anti social company face the trouble.
 Due to unfair trade practises company faces the low demand of the products.
TASK 4
P5 SWOT analysis of organisation.
SWOT analysis of Mark & Spencer (Internal Analysis)
Strength
 Mark & Spencer has a big brand image.
 It is Known as a quality making
products and services.
Weaknesses
 Lack of systematic business plans.
 Improper implementation of new
technologies.
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 Talented Group of employees
 Great customer satisfaction
Opportunities
 Online Marketing strategies
 Technological trends
Threats
 High competition in the market.
 External Environment
External analysis
Porters Five forces analysis of Mark & Spencer
Bargaining power of buyers: This factor of external analysis is very important to measure the
company profit. This factor gives influence to the business to increase the profitability. This
Factor helps M&S to improvise the changes.
Supplier Power: Business can get raw material from the suppliers. In this situation supplier has
less power to get benefit. Company purchase material from other supplier on the basis of costs.
Competitive rivalry: This external analysis can effect on the business in this factor if Tesco
changes its price of the product(Rong, Shi, and Yu, 201). M&S will also have to changes in
prices before making price strategies company needs to analyse the prices of other competitors.
New entrants: This is the main factor which affects company growth. Retail market has large
number of competitors so it is important to develop new different services to compete with other
companies.
Other substitutes: all products provided by M&S the same products provide Tesco as well. It is
the big challenge for the company to overcome fro this problem and provide the best quality
services.
These all external factors affect the M&S positively or negatively both. Company needs to
modify the quality of product and services so that customer don't get bored with the same
services.
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P6) Effects of interrelation of strength & weaknesses on external environment of Mark &
Spencer
Mark & Spencer is a major brand in the marked & one of the market leaders. It has a great brand
value which makes it a trustworthy brand among the customers. Also the quality of products &
services provided by Mark & Spencer to is customers is comparatively high as compared to its
competitors(Drucker, 2017. ). Thus if any sort of external factors , whether economical, political
or social disturbances that can effect the productivity of an organisation or a company, can not
affect Mark & Spencer to such a great extent.
Thus this will be the affect of external factors on strength & weaknesses of Mark & Spencer
 As Mark & Spencer is one of the biggest brand in the market, if there is any social or
economic change in the market, it will rarely affect the customer base & market share of
the company(Rong, Shi, and Yu, 2013.). As the people are assured about its quality in
products & services gaining the company a high customer satisfaction level. This level of
trust & satisfaction achieved by Mark & Spencer will have a positive impact even after
any change in its external environment.
 Also a part of its success gores to its team of very talented employees who will work for
the success of the organisation even after any sort of change in economical or social
factors.
 But company has to work upon its Business strategy as Mark & Spencer lacks a proper &
systematic implementation of a business plan. It may have some sort of adverse effect on
the company during the change in market trends.
Also company is not technologically viable to meet up with the challenges caused due to
advancement of technology(Othman, and Rahman, 2014.). Mark & Spencer has to look
out for a solution in case of any sort of technical innovation introduced by its
competitors.
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CONCLUSION
From the above report it can be concluded that there are three types of business
organisation: private, public, and voluntarily. They all are different from each other. Like private
organisations are run for the profit maximization. So in other hand public company main is to
provide product and services at low price. And voluntarily firms are non-profit organisation.
Also, macro or micro factors affects the business all the factors are explained to define the
growth of the business. Overall it was explained about the business organisation and its role.
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